Research On Cost Management Maturity Of Real Estate Development Company

Over years,the competition among real estate companies is mostly concentrated in marketing and product design, while pay little attention to achieving competitive advantage from cost management. However, the market of real estate is not that bright as a result of government macro-control,worse more, the developing cost keeps increasing, real estate is facing dual pressure. Under this situation, the driving force of real estate enterprises to improve competitiveness by cost management is increased. However, to different enterprises, the level of cost management is different according to its scientific, systematic and complexity, different people also have different perceptions of it. Thus, the study of what is scientific cost management and how to evaluate it scientifically both have theoretical importance and practical value.This article think maturity is a good method to evaluate the capability of organization basis on summarizing cost management evaluation research and maturity evaluation study.The paper summarizes the development and maturity of cost management from six perspectives by analyzing the theory. Through questionnaire survey, the author analyzes the current cost management situation of real estate developing enterprises, making a summary of its features, difficulty and misunderstandings. The first center content of the article, which is based on the combination of theory and practice, is what the scientific cost management is. Then by refining and improving the existing cost management evaluation contents, the paper argues that cost management evaluation of real estate developing companies should including five aspects: 1) awareness of cost management, 2) cost management organization, 3) cost management methods, 4) cost risk management, and 5) effect of cost management. While leading in the concept of maturity evaluation at the same time. The article explains the meaning of maturity and makes a definition of real estate companies'cost management maturity. The author then make a conclusion of the features of cost management maturity from the above five aspects, coming up with the opinion that applying the maturity model in the judgment of maturity.The other center content is how to establish a scientific maturity judge model. By referencing the model dimensions, maturity classification and key practice of existing maturity model, together with the evaluation index, criteria and questionnaire, the author comes up a scientific maturity model. In this part, the author makes use of self-evaluation to explain the real situation of the company. About questionnaire there are three kinds of selection: first:Choose one among five answers which represent five different maturity level features; second: Multiple-choice; third: choose YES or NO. No matter which kind of selection, there has a certain meaning of it and there is a particular calculation method. At last, comes up a final maturity level, and make a example in this paper to indicate that this evaluation method is feasible.